Q2 2026 Current Trends In The Dublin Residential Property Market
Our Q2 transactional data confirms that Dublin’s prime residential property market remains positive for sellers with demand continuing to significantly outpace supply despite an increase in supply in May and June. While bidding intensity eased slightly compared to the levels seen in Q1, competition for quality homes remained extremely strong. Well-presented properties in prime locations continue to attract multiple bidders, with homes selling quickly and achieving substantial premiums above asking price. Encouragingly, investor activity has begun to recover after a prolonged period of subdued demand, although landlords continue to exit the market in considerable numbers, placing further pressure on Dublin’s already constrained rental sector.
Sales Market: Demand Continues to Outstrip Supply
The sales market remained firmly in sellers’ favour during Q2. Our average selling price was €641,865, 9.4% above the average asking price, while 89% of properties were agreed above asking. Although this premium was marginally lower than the exceptional results achieved in Q1, it remains one of the strongest performances recorded by Owen Reilly and reflects the continued imbalance between supply and demand. Sales campaigns were on average just 4.9 weeks, almost half the time recorded during the same period last year, while the sales fall-through rate reduced to 12.7%, suggesting buyers are entering the market with greater confidence and stronger financial preparedness.
Who’s Buying—and Who’s Selling
Owner-occupiers continued to dominate the market, accounting for 81% of our purchasers, with first-time buyers representing the largest segment of owner-occupier demand. Mortgage-funded purchases increased, although the most notable shift this quarter was the return of investor activity. Investors accounted for 19% of buyers, compared with just 6% in Q2 2025, contributing to a significant increase in cash-funded transactions. Despite this positive trend, landlords continued to account for 75% of sellers, highlighting that investor exits still substantially outweigh new investment and reinforcing the ongoing shortage of rental accommodation across Dublin.
Rental Market: Demand Remains Exceptionally Strong
The rental market continues to experience significant supply constraints, with demand remaining resilient despite rising affordability pressures. Our average monthly rent increased to €3,051, approximately 10% higher than Q2 2025, reflecting the continued shortage of quality rental homes. Technology remains the dominant employment sector among tenants, accounting for 54% of all lettings. Our typical tenant is 35 years old, predominantly from continental Europe, with an average household income of €82,000.
Looking Ahead
As we move into the second half of 2026, interest rates, inflation, geopolitical developments and the pace of housing delivery will continue to influence market sentiment. But the persistent shortage of homes for sale is expected to remain the defining factor. While bidding has become slightly more measured than the extraordinary levels experienced earlier in the year, competition for well-priced, turn-key homes shows little sign of easing. The gradual return of investors is encouraging; however, with landlords continuing to leave the market in substantial numbers, rental supply is unlikely to improve in the near future. Unless housing delivery accelerates meaningfully, both the sales and rental markets are expected to remain characterised by limited supply, strong competition and continued upward pressure on values for the remainder of 2026.
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